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in potential) considered important in your market. Think about "what's important to the consumer" in other product or service categories that you can be the first (or better yet: the only) one to supply in yours. It works time after time. The companies that have succeeded in maintaining their differentiation over the years and weren't imitated even though they were making tremendous profits are those that innovated in qualities beyond the core benefits of their market. The farther you look, the more successful you can become. What are they waiting for? Let's look at some examples of off-core differentiation. Swatch decided to treat the watch face and band as a design area. What does this have to do with the core benefit of a watch? Exactly! So no one has imitated them. Not really. Grey Goose vodka is the only vodka produced in France. This differentiation is so way-out of the core benefits of the vodka industry! No vodka connoisseur in his right mind would imitate that. What about The Body Shop? There's no place for another cosmetics chain that actively fights against animal experiments, for the environment and for the needy wherever they are. No one even thinks about imitating them. The mob and the mobile Sometimes an off-core differentiation can become eventually a core benefit. This happened to Nokia. It happens when the differentiation is not really off-core but is actually based on a deep insight into the direction that the market is going and of consumers' future needs. Nokia took the global market with a seemingly off-core strategy. While Motorola was busy developing better and better mobile phones, Nokia predicted that mobile phones were going to be a popular product. When people will start carrying their cellphone around with them as they go about their everyday life, it will become an apparel item, a fashion statement. And thus the idea that helped turn Nokia into the world leader was born - the idea of the exchangeable panels that let you match the phone to your clothes. It didn't seem like a core benefit of the category back then. Totally not connected to what a mobile phone is supposed to do. But when the technology of most mobile phone manufacturers became similar, they began to compete over design. Samsung, Sony Ericsson and yes, even Motorola, started to beat Nokia, using its own weapon. As I am writing, Nokia's share of the market is still double that of Motorola's (do you realize what a lead Nokia was able to open?). But Nokia has lost its

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